Competition Bureau kiboshes Eastlink, Bruce Telecom deal

By Lesley Hunter

OTTAWA – Eastlink parent Bragg Communications has shelved plans to acquire Ontario's Bruce Telecom after failing to receive approval from the Competition Bureau.In an announcement Friday, the Bureau said that had Eastlink's acquisition of Bruce Telecom proceeded as proposed, “it would have likely resulted in a substantial lessening or prevention of competition in the towns of Port Elgin and Paisley”, where the two companies compete. As a result, the two parties “ultimately decided to abandon the proposed transaction”, reportedly valued at $24 million.Both companies are facilities-based providers of telecommunications services, including wireline telephone, broadband Internet and television, within Bruce County in southwestern...